After London Ban, Uber Faces Regulatory Threat in Brazil
- Senate to vote on bill that treats transport apps as taxis
- Without significant changes, drivers’ bureaucracy to rise
Why London Has Banned Uber
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Uber could face a major legislative clampdown in Brazil, potentially rendering its current business model unworkable in its second-largest market after the U.S.
Brazil’s Senate on Tuesday voted 46 in favor versus 7 against to fast-track a bill that would regulate Uber and other on-demand transport apps such as Cabify, 99 and Lady Driver as taxi services rather than technology companies. The rule changes would "increase app drivers’ bureaucracy so much that the system would become inviable," the companies said in a joint press release. The next Senate vote will take place on Oct. 31.